{
  "id": 1651721,
  "title": "The bitcoin price level where leveraged bulls could get whacked",
  "url": "https://urgent.news/2026/08/18/the-bitcoin-price-level-where-leveraged-bulls-could-get-whacked",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-08-18T05:55:43.000Z",
  "source": {
    "name": "CoinDesk",
    "slug": "coindesk",
    "url": "https://www.coindesk.com/markets/2026/08/18/the-bitcoin-price-level-where-leveraged-bulls-could-get-whacked"
  },
  "original_language": "en",
  "account": "When traders hold bullish futures bets on bitcoin, a crucial level to watch is $57,000. This isn't due to support from an early June market turn, but rather where their bullish bets may face risk. Futures function by allowing traders to control large positions with a small initial deposit, known as collateral. The remainder is covered by the exchange through leverage. If the bet proves correct, profits are amplified. However, if the market moves against the bet, losses are similarly amplified, and once losses exceed the trader's margin, the exchange steps in to automatically close the position. For long positions currently held, $57,000 is the level where positions may become underwater and face liquidation by exchanges unless additional collateral is provided. Crypto analytics platform Alphractal's CEO, Joao Wedson, stated that $57,000 is a key region to monitor. If bitcoin dips into this range, a massive wave of long liquidations could occur. This risk is further heightened by low trading volumes. With a large number of active contracts compared to trading volume, thin order books could complicate the absorption of liquidations, potentially leading to a sharper and faster price drop instead of a gradual decline. Historical crypto bear cycles have seen crashes of 76% to 84%. The current cycle, which began above $126,000 last October, has only reduced prices by half thus far. Analysts at crypto exchange Bitfinex noted that bitcoin is exhibiting characteristics of a mid-to-late bear market, with the price trading between realized prices of $52,699 and $67,176. The near-$63,200 realized price median has provided support over the past two weeks; a break below this level could bring back the June low of $57,803. Wedson suggested that the market typically experiences a large liquidation wave before reaching a bottom, which occurred during bitcoin's 2022 bottom. Currently, BTC is near $64,000, and an inverse head-and-shoulders bottom may be forming on the daily chart. If confirmed, this bullish pattern could open the path to a rally toward $76,000. Despite negative macroeconomic developments like regulatory delays, rising bond yields, and ongoing U.S.–Iran tensions, bitcoin has held firmly above $62,000. This resilience often indicates a potential shift into a bullish phase.",
  "summary": "Bulls are stacking longs, liquidity is thinning and one key level could trigger large liquidations.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}